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Economic Connection Test

The economic connection test is designed to assess whether ratepayer investment for the grid upgrades required to expand the system capacity is justifiable in light of:

  • the best available information about confirmed transmission upgrades
  • other proposed generating facilities
  • distribution system expansion plans.

This test is proposed to run for each region of the province at least every six months.

The OPA will perform the test for transmission expansions and will consider:

  • network reinforcements
  • enabler facilities.

The OPA and local distribution companies will work together to integrate transmission and distribution system planning.

Possible results of the economic connection test are set out below.

Economic Connection Test

 Result

Next Step
  • required system expansions are deemed to be economical and will be included in transmission and distribution expansion plans

pass
  • proceed to FIT production line
  • contract will be awarded when required system expansions are approved and will be constructed in time to allow the project to connect and be in service by its milestone date for commercial operation
  • required system expansions are not deemed to be economical at this time

fail
  • proceed to FIT reserve
  • project will be re-evaluated during the next economic connection test, together with all other projects in the FIT reserve and FIT production line
  • project will serve as input to future expansion plans